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The Consumer Federation of America, in a study it released this month, said deregulation of telecommunications and utilities is hindering the balance between private incentives and public obligations.
The federation, in its report scrutinizing the deregulatory environment in Washington, D.C., suggested there should be a moratorium on any more deregulation within the telecommunications industry. It also criticized federal agencies, including the Federal Communications Commission, on efforts to deregulate telecommunications.
The CFA said the FCC has opened a half dozen rulemakings that would "radically transform several key elements of telecommunications." Those proceedings include changes for local phone service and availability of cable modem offerings. "Taken together, these proceedings will limit competition in local phone and high-speed Internet services markets," the federation said.
Inside the report, CFA said, "Rather than search for economic theories to justify remonopolization of the industry, the FCC should suspend the rulemakings that are so heavily biased in favor of the incumbents. If competition is ever going to gain a foothold, it will be built in markets that are related to the core network industries and must be built on the basis of sharing the bottleneck facilities and services provided by those networks."
From SkyReport (Used with Permission)
The federation, in its report scrutinizing the deregulatory environment in Washington, D.C., suggested there should be a moratorium on any more deregulation within the telecommunications industry. It also criticized federal agencies, including the Federal Communications Commission, on efforts to deregulate telecommunications.
The CFA said the FCC has opened a half dozen rulemakings that would "radically transform several key elements of telecommunications." Those proceedings include changes for local phone service and availability of cable modem offerings. "Taken together, these proceedings will limit competition in local phone and high-speed Internet services markets," the federation said.
Inside the report, CFA said, "Rather than search for economic theories to justify remonopolization of the industry, the FCC should suspend the rulemakings that are so heavily biased in favor of the incumbents. If competition is ever going to gain a foothold, it will be built in markets that are related to the core network industries and must be built on the basis of sharing the bottleneck facilities and services provided by those networks."
From SkyReport (Used with Permission)
